Sarbanes Oxley

1476 Words Nov 17th, 2013 6 Pages
Financial scandals have impacted many individuals such as public companies and accounting firms. Sarbanes Oxley has made many changes to many companies. The major financial scandals have impacted many investors and required more regulations to avert this problems. Sarbanes Oxley has tried to increase ethics in the upper management in many public companies. The upper management has tried to improve on social responsibility and increase the public view. There are many critics to Sarbanes Oxley and many different suggestions on improvements.
History of Sarbanes-Oxley Act
Scandals of many forms shape regulations in many aspects. The Sarbanes Oxley Act was a new regulation that was initiated because of financial scandals. Tyco, WorldCom
…show more content…
Social Responsibilities
Corporate social responsibility is an organizations’ impact on society that goes beyond what is ethical. Being socially responsibility, an individual in upper management must realize how the actions might be able to influence the rest of the environment. If a company is socially responsible the company is honest, trustworthy, and display integrity while dealing with others and provides the attention to the stakeholders, build a community by searching for goals that are compatible with and respect individuals and accomplish silent triumphs.
Some chief executive officers and chief financial officers had established policies in order to determine the corporate social responsibility by affecting the local community. Some individuals believe the corporate social responsibility can improve profits because it can promote respect for the company in the marketplace resulting in higher sales. A company can have corporate social responsibility in many manners such as treatment of employees, local community and increase ethical behavior within the company. If the upper management provides ethical behavior and is demonstrating to the employees and consumers it is a corporate social responsibility that is the most important.
By respecting the Sarbanes-Oxley Act, the managers show the employees and the local community that there

More about Sarbanes Oxley